| CNJFX Fund | | | USD 3.87 0.02 0.52% |
The current 90-days correlation between Commonwealth Japan and Commonwealth Australianew Zealand is 0.59 (i.e., Very weak diversification). The correlation of Commonwealth Japan is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak. If the correlation is 0, the equities are not correlated; they are entirely random.
Commonwealth Japan Correlation With Market
Very weak diversification
The correlation between Commonwealth Japan Fund and DJI is 0.46 (i.e., Very weak diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Commonwealth Japan Fund and DJI in the same portfolio, assuming nothing else is changed.
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Trending Equities to better understand how to build diversified portfolios, which includes a position in Commonwealth Japan Fund. Also, note that the market value of any mutual fund could be closely tied with the direction of predictive economic indicators such as
signals in census.